Peach specializes in analyzing each specific client situation to assist in strategically planning your capital aquisition with SBA Express loans.
What is an SBA Express loan?
An SBA Express Loan is a type of loan offered under the Small Business Administration (SBA) 7(a) Loan Program that provides faster funding and a simplified application process compared to traditional SBA loans. It is designed to help small businesses access working capital quickly
Key Features of an SBA 504 Loan:
- Loan Amount: Up to $500,000
- Approval Time: As quickly as 24-hours
- Guarantee Rate: 50% SBA guarantee (lower than standard 7(a) loans)
- Use of Funds: Can be used for working capital, equipment purchases, real estate, debt refinancing, or business expansion
- Repayment Terms: Up to 10 years for working capital and up to 25 years for real estate
- Interest Rates: Typically SBA Prime + 2-3%
Benefits of an SBA Express Loan:
- Faster Processing: The SBA provides a response within 36 hours, which is significantly faster than other SBA loans.
- Flexible Use of Funds: Can be used for a variety of business needs, including expansion, equipment purchases, or working capital.
- Lower Down Payments: Compared to conventional loans, SBA loans often require lower down payments, making them accessible for small businesses.
- Longer Repayment Terms: More extended repayment periods reduce monthly payments, helping with cash flow management.
- Easier Qualification: While still requiring strong credit and business financials, the Express loan is often easier to qualify for than traditional SBA loans.
SBA Express loans are ideal for small businesses that need quick access to capital but still want the advantages of an SBA-backed loan.
